The Tribune

By NATARIO McKENZE

Tribune Business Reporter

nmckenzie@tribunemedia.net

A trade union leader is urging the Government to lift the Employment Act's redundancy cap, and demanding a "level playing field" for workers across the Bahamas.

Obie Ferguson, the Trade Union Congress's (TUC) president, told Tribune Business he supported the Government's pledge to raise the '12-year' redundancy cap for worker compensation.

"We certainly support the position of the minister with respect to increasing the redundancy period," Mr Ferguson said. "The maximum is 12 years and we support lifting it, because if a worker works for 34 years with a company it must be unreasonable - and certainly unconscionable - for that worker to be entitled to the same redundancy amount as someone who worked for 12 years. That cap ought to be lifted and we support the minister on that position."

Mr Ferguson added: " We also support him in the establishment of a redundancy fund. That has been the position of the TUC for years. When a company goes belly up there will be funds for those workers to get some money to bring some kind of relief while they make all efforts to find employment.

"We also support him in this independent arbitrator concept. We have been a major supporter of the industrial side of the Supreme Court being made to accommodate labour issues. We certainly are in support of that, and we are in support of the Tribunal being able to enforce its own rulings and decisions, and being empowered to fast-track cases in order to maintain industrial harmony."

Dion Foulkes, minister of labour, during his Senate Budget contribution last week said the Minnis administration has pledged to remove the '12-year' redundancy cap. "In this term in office we pledge to move the redundancy cap of 12 years for workers' compensation and institute a new cap after consultation with the Tripartite Council," said Mr Foulkes.

At present, line staff remain entitled to a maximum 24 weeks or six months' redundancy pay, gaining two weeks for each year they have been employed up to the 12-year 'cap'. Managers remain at a maximum of 48 weeks, or one month for every year worked up to 12 years.

The redundancy cap was a contentious issue between employers and the trade unions when Employment Act reforms were introduced last year under the Christie administration.

Mr Foulkes promised, though, that the Government would work with unions and employers to establish a redundancy fund and empower the Industrial Tribunal to enforce its own decisions.